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Article
Publication date: 3 January 2024

Sudhir Rama Murthy, Thayla Tavares Sousa-Zomer, Tim Minshall, Chander Velu, Nikolai Kazantsev and Duncan McFarlane

Advancements in responsive manufacturing have been supporting companies over the last few decades. However, manufacturers now operate in a context of continuous uncertainty. This…

Abstract

Purpose

Advancements in responsive manufacturing have been supporting companies over the last few decades. However, manufacturers now operate in a context of continuous uncertainty. This research paper explores a mechanism where companies can “elastically” provision and deprovision their production capacity, to enable them in coping with repeated disruptions. Such a mechanism is facilitated by the imitability and substitutability of production resources.

Design/methodology/approach

An inductive study was conducted using Gioia methodology for this theory generation research. Respondents from 20 UK manufacturing companies across multiple industrial sectors reflected on their experience during COVID-19. Resource-based view and resource dependence theory were employed to analyse the manufacturers' use of internal and external production resources.

Findings

The study identifies elastic responses at four operational levels: production-line, factory, company and supply chain. Elastic responses that imposed variable-costs were particularly well-suited for coping with unforeseen disruptions. Further, the imitability and substitutability of manufacturers helped others produce alternate goods during the crisis.

Originality/value

While uniqueness of production capability helps manufacturers sustain competitive advantage against competitors during stable operations, imitability and substitutability are beneficial during a crisis. Successful manufacturing companies need to combine these two approaches to respond effectively to repeated disruptions in a context of ongoing uncertainties. The theoretical contribution is in characterising responsive manufacturing in terms of resource heterogeneity and resource homogeneity, with elastic resourcing as the underlying mechanism.

Details

International Journal of Operations & Production Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 3 October 2023

Mengge Li and Jinxin Yang

By integrating perspectives from the resource-based view, attention-based view, upper echelon theory and competitive dynamics (CD), the authors seek to understand how chief…

Abstract

Purpose

By integrating perspectives from the resource-based view, attention-based view, upper echelon theory and competitive dynamics (CD), the authors seek to understand how chief executive officer (CEO) vigilance influences the way resources are utilized in relation to competitive behavior.

Design/methodology/approach

This study's empirical analysis is conducted using a longitudinal design in the US software and IT services industry with a final sample consisting of 44 publicly traded firms and 471 firm-year observations from 1995 to 2009. The authors respectively use the fixed-effects negative binomial model and generalized estimating equation (GEE) model to test the effects of technology resource breadth on competitive intensity and competitive deviance and the interacting effects with CEO attention broadness and uniqueness.

Findings

This study's results show that CEO vigilance (attention broadness and uniqueness) interacts with technology resource breadth to jointly influence competitive intensity and deviance. Firms with vigilant CEOs utilize firm resources to compete less intensively but in an unconventional way.

Practical implications

This study reveals that when CEOs have a broader focus and attend to a wide range of information, their ability to quickly utilize firm resources for formulating competitive actions decreases. Consequently, it is crucial for CEOs to acknowledge the limitations of their attentional capacity. They need to understand that the allocation of their attention and information processing capacity has significant implications for the speed and quality of their decision-making processes.

Originality/value

The authors conceptualize and operationalize CEO vigilance, which is a novel construct that has not been studied. The authors show that CEO vigilance plays critical roles in utilizing resources to compete. This study offers significant research implications for attention-based view, upper-echelons theory, CD perspective and resource-based view.

Details

Management Decision, vol. 61 no. 11
Type: Research Article
ISSN: 0025-1747

Keywords

Open Access
Article
Publication date: 19 January 2023

Anne Margarian and Christian Hundt

This study aims to elucidate the quantitative and qualitative differences in employment development between German districts. Building on ideas from competitive development and…

Abstract

Purpose

This study aims to elucidate the quantitative and qualitative differences in employment development between German districts. Building on ideas from competitive development and resource-based theory, the paper particularly seeks to explain enduring East-West differences between rural regions by two different forms of competitive advantage: cost leadership and quality differentiation.

Design/methodology/approach

This study follows a two-step empirical approach: First, an extended shift-share regression is conducted to analyze employment development in Western and Eastern German districts between 2007 and 2016. Second, the competitive share effect and other individual terms of the shift-share model are further examined in additional regressions using regional economic characteristics as exogenous variables.

Findings

The findings suggest that the above-average employment growth of the rural districts in the West is owed to the successful exploitation of experience in manufacturing that has been gathered by firms in the past 100 years or so. While their strategy is largely based on advanced and specialized resources and an innovation-driven differentiation strategy, the relatively weak employment development of Eastern rural districts might be explained by a lack of comparable long-term experiences and the related need to focus on the exploitation of basic and general resources and, accordingly, on the efficiency-based strategy of cost leadership.

Originality/value

This study offers an in-depth empirical analysis of how the competitive share effect, i.e. region-specific resources beyond industry structure, contributes to regional employment development. The analysis reveals that quantitative differences in rural employment development are closely related to qualitatively different levels of input factors and different regimes of competitiveness.

Details

Competitiveness Review: An International Business Journal , vol. 33 no. 7
Type: Research Article
ISSN: 1059-5422

Keywords

Article
Publication date: 2 January 2024

Matti Juhani Haverila and Kai Christian Haverila

Big data marketing analytics (BDMA) has been discovered to be a key contributing factor to developing necessary marketing capabilities. This research aims to investigate the…

Abstract

Purpose

Big data marketing analytics (BDMA) has been discovered to be a key contributing factor to developing necessary marketing capabilities. This research aims to investigate the impact of the technology and information quality of BDMA on the critical marketing capabilities by differentiating between firms with low and high perceived market performance.

Design/methodology/approach

The responses were collected from marketing professionals familiar with BDMA in North America (N = 236). The analysis was done with partial least squares-structural equation modelling (PLS-SEM).

Findings

The results indicated positive and significant relationships between the information and technology quality as exogenous constructs and the endogenous constructs of the marketing capabilities of marketing planning, implementation and customer relationship management (CRM) with mainly moderate effect sizes. Differences in the path coefficients in the structural model were detected between firms with low and high perceived market performance.

Originality/value

This research indicates the critical role of technology and information quality in developing marketing capabilities. The study discovered heterogeneity in the sample population when using the low and high perceived market performance as the source of potential heterogeneity, the presence of which would likely cause a threat to the validity of the results in case heterogeneity is not considered. Thus, this research builds on previous research by considering this issue.

Article
Publication date: 23 May 2023

Yunmiao Gui, Huihui Zhai, Feng Dong and Zhi Liu

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information…

Abstract

Purpose

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information asymmetry theory and offers suggestions on how platform operators can manage user expectations.

Design/methodology/approach

According to the game theory, this study considers three user expectations (responsive, passive and wary). By framing the Hotelling duopoly model and comparing the VAS investment, price and platform profits, the optimal platform decision is analyzed and discussed.

Findings

The conclusions demonstrate that the monopolistic two-sided platform obtains more profits from the informed users with responsive expectations than uninformed users with passive or wary expectations. The marginal investment cost and cross-network externalities are two key factors that determine the platform's VAS investment and pricing strategies of passive or wary users. Furthermore, considering the expectation preferences, i.e. the uniformed users hold wary expectations with more information and hold passive expectations with less or no information, the results suggest that the proportion of wary users to all uninformed users increases the platform's VAS investment, profits and the price of informed users, and increase (decrease) the price of uninformed users when the cross-network externalities of informed users are relatively small (larger).

Practical implications

These results can provide insightful enlightenment into how platform operators utilize bilateral users' expectations and information level to guide their VAS investment and pricing decisions.

Originality/value

This paper is one of the first to explore the impact of three user expectations and the heterogeneity of preferences in informing users' passive or wary expectations, based on different levels of information on the decision-making of two-sided platforms regarding VAS.

Details

Kybernetes, vol. 53 no. 2
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 12 August 2022

Jingchen Ma and Xu Huang

The purpose of this study is to examine how the experience of the top management team (TMT), such as industrial experience and functional experience heterogeneity, affect…

Abstract

Purpose

The purpose of this study is to examine how the experience of the top management team (TMT), such as industrial experience and functional experience heterogeneity, affect corporate social performance (CSP) and whether TMT faultlines act as a moderator.

Design/methodology/approach

To examine the effect of TMT experience on CSP, this study uses upper echelons theory as theoretical background, and data are selected from 212 Chinese high-polluting companies with A-shares from 2012 to 2016. The dependent variable is lagged by one year from 2013 to 2017.

Findings

Industrial experience both positively influenced CSR and negatively influenced corporate social irresponsibility. Functional experience heterogeneity had an inverted U-shaped effect on responsible behaviors and a U-shaped effect on irresponsible behaviors. Meanwhile, TMT faultlines played a moderating roles in the relationship between TMT experience and CSP, in which faultlines reinforces the non-linear relationship between functional experience heterogeneity and CSP.

Research limitations/implications

The existence of impact paths between TMT experience and corporate social performances must still be examined. Other moderators need to be verified.

Practical implications

The important ways to promote more corporate responsible behavior and reduce irresponsible corporate behavior is to choose the right team members. During team formation, it is important to have experience in related industries and select team members with different functional experiences. Companies can consider hiring executives who tend to work together and have relevant experience, which can reduce the time cost of unnecessary conflicts.

Originality/value

This study combined the upper echelons theory with some attention perspectives to study the impacts of TMT experience on CSP.

Details

Nankai Business Review International, vol. 14 no. 4
Type: Research Article
ISSN: 2040-8749

Keywords

Article
Publication date: 22 March 2024

Yang S. Yang, Xiaojin Sun, Mengge Li and Tingting Yan

This study investigates the extent to which a firm’s centrality and autonomy in its supply network are associated with the intensity and complexity of its competitive actions.

Abstract

Purpose

This study investigates the extent to which a firm’s centrality and autonomy in its supply network are associated with the intensity and complexity of its competitive actions.

Design/methodology/approach

Utilizing social network analysis and dynamic panel data models, this study analyzes a comprehensive panel dataset with 10,802 firm-year observations across various industries between 2011 and 2018 to test the hypotheses.

Findings

Our findings show that a firm’s level of centrality in its supply network has an inverted U-shaped relationship with both competitive intensity and competitive complexity. In addition, the turning points of these two inverted U-shaped relationships differ in that firms with a lower level of centrality tend to compete aggressively by launching more actions within fewer categories, while firms with a higher level of centrality tend to compete aggressively by launching fewer actions that cover a larger range of categories. Finally, we find that a firm’s structural autonomy has a positive relationship with competitive complexity.

Originality/value

This study bridges the gap between the supply chain management literature and strategic management literature and investigates how supply networks shape competitive aggressiveness. In particular, this research investigates how a firm’s structural position in its supply network affects its competitive actions, an important intermediate mechanism for competitive advantage that has been overlooked in the supply chain management literature.

Details

International Journal of Operations & Production Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 21 November 2023

Xuecheng Yang and Yunfei Shao

This paper aims to reveal how different types of events and top management teams' (TMTs’) cognitive frames affect the generation of breakthrough innovations.

Abstract

Purpose

This paper aims to reveal how different types of events and top management teams' (TMTs’) cognitive frames affect the generation of breakthrough innovations.

Design/methodology/approach

Drawing on the event system theory and upper echelon theory, this study chose a Chinese manufacturing enterprise as the case firm and conducted an exploratory single-case study to unpack how breakthrough innovation generates over time.

Findings

By conducting the in-depth case analysis, the study revealed that firms do not produce breakthrough innovation in the catch-up stage and parallel-running stage but achieve it in the leading stage. It also indicated that when facing proactive events in the catch-up stage, TMTs often adopt a contracted lens, being manifested as consistency orientation, less elastic organizational identity and narrower competitive boundaries. In addition, they tend to adopt a contracted lens when facing reactive and proactive events in the parallel-running stage. In the face of reactive and proactive events in the leading stage, they are more inclined to adopt an expanded lens, being manifested as a coexistence orientation, more elastic organizational identity and wider competitive boundaries.

Originality/value

First, by untangling how TMT's cognitive frame functions in breakthrough innovations, this paper provides a micro-foundation for producing breakthrough innovations and deepens the understanding of upper echelon theory by considering the cognitive dimension of TMTs. Second, by teasing out several typical events experienced by the firm, this paper is the first attempt to reveal how events affect the generation of breakthrough innovation. Third, the work extends the application of the event system theory in technological innovation. It also provides insightful implications for promoting breakthrough innovations by considering the role of proactive and reactive events a firm experiences and TMT's perceptions.

Details

Management Decision, vol. 62 no. 1
Type: Research Article
ISSN: 0025-1747

Keywords

Book part
Publication date: 16 November 2023

Gino Cattani

Firm identities are central and enduring aspects of organizations. However, when firms develop unique identities, they also face an obvious paradox: strategic decisions that are…

Abstract

Firm identities are central and enduring aspects of organizations. However, when firms develop unique identities, they also face an obvious paradox: strategic decisions that are inconsistent with those identities are likely to generate internal and external resistance. Indeed, decisions that entail identity-violating changes may have destabilizing consequences. Furthermore, firms typically face the demand of multiple audiences (or stakeholders) and, therefore, must conform to them in order to be seen as legitimate and have access to symbolic and material resources. Recognizing the influence of multiple audiences in identity construction opens the door to another paradox: what expectations should a firm heed while making those binding commitments that ultimately define its “identity”? These two paradoxes are at the heart of extant research on organizational identity, and addressing them requires a genuine engagement in conversations between disciplines, particularly among scholars working at the intersection between organization theory and strategy.

Article
Publication date: 31 October 2023

Wenjie Li, Idrees Waris and Muhammad Yaseen Bhutto

The current study examines the impact of big data analytics capabilities (BDAC) on supply chain performances of the manufacturing firms. Based on the underpinning of…

Abstract

Purpose

The current study examines the impact of big data analytics capabilities (BDAC) on supply chain performances of the manufacturing firms. Based on the underpinning of resource-based view (RBV) theory, the current study will highlight the significance of BDAC on green dynamic capabilities (GDC), supply chain agility (SCA) and green competitive advantage (GCA). Furthermore, the study examines the moderating effect of supply chain innovativeness (SCI) on the relationship between GCA and firm performance (FP).

Design/methodology/approach

Online survey method was employed for the data collection from the 331 managers employed in Pakistan Stock Exchange (PSX)-listed manufacturing firms. The hypothesized model was tested using partial least squares structural equation modeling (PLS-SEM) technique.

Findings

The study results indicate that BDAC has a positive influence on both GDC and SCA, leading to enhanced GCA. Furthermore, the results demonstrate that GCA significantly and positively impacts FP, and the relationship between them is positively moderated by SCI.

Originality/value

This study developed a novel theoretical perspective based on RBV theory and provided empirical evidence that manufacturing firms' performances are significantly influenced by BDAC, GDC and SCA. The study results provide valuable practical implications top management regarding the effectiveness of BDAC and SCA in the supply chain. The findings further highlight the significance of SCI strengthening relationship between GCA and FP.

Details

Journal of Manufacturing Technology Management, vol. 35 no. 1
Type: Research Article
ISSN: 1741-038X

Keywords

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